Sherpa Wealth Strategies Financial Planner in Bend, Oregon

Sustainable Investing

& Asset Management

Sustainable Investing & Asset Management

What is sustainable investing? Or as its commonly referred to – Environmental, Social, Governance (ESG) and Socially Responsible Investing (SRI)?

Building a sustainable investment portfolio – also known as SRI (Socially Responsible Investing) using ESG (Environmental, Social and Governance) criteria – is a proactive way to support companies making a positive societal impact while aiming for competitive long-term financial returns.

Socially Responsible Investing and asset management examines a company’s values, the products it sells and the way in which it conducts business. Portfolio managers use ESG standards to screen companies with a set of socially conscious criteria, including the company’s long-term impact on society and the environment. The companies are further evaluated on traditional business measures of financial performance and outlook. Some considerations of an ESG investment portfolio include:

Environment: What impact does a company have on the environment? This can include a company’s carbon footprint, toxic chemicals involved in its manufacturing processes and sustainability efforts throughout its supply chain.
Social: How does the company improve its social impact, both within the company and in the broader community? Social factors include everything from LGBTQ+ equality, racial diversity in the executive suite and staff overall, and inclusive programs and hiring practices. It even looks at how a company advocates for social good in the wider world, beyond its limited sphere of business.
Governance: How do the company’s board and management drive positive change? Governance includes everything from executive pay to diversity in leadership and how well that leadership responds to and interacts with shareholders.

Through employing a sustainable investment strategy, investors are able to pursue their goals that reflect their values while aiming for competitive long-term returns.

Sherpa Wealth Strategies understands your values lead your life, and therefore have a place in your investment strategy. If SRI or ESG investments are of interest, talk with your advisor about how we can implement sustainable investing as a core holding or a complementary strategy.

**All investing involves risk including the loss of principal. No strategy assures success or protects against loss. Asset allocation does not ensure a profit or a protection against a loss.**

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